Morgan Stanley isn’t buying the hype. On Aug. 6, analyst Joseph Moore cut his price target for AMD stock to $168 from $185, maintaining an “equal weight” rating.

The AI data-center market has been moving toward “full stack” rack-scale solutions led by Nvidia. In March, AMD closed its acquisition of ZT Systems, giving the company more expertise to design rack-scale AI servers incorporating chips, networking, and software in a larger end-to-end system offering in the future.

On the top line, AMD generated sales of $7.69 billion, representing a 32% lift from the year-ago period. This tally also exceeded the consensus view of $7.42 billion. Still, it wasn’t enough to convince investors to hold onto AMD stock,